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OSI Chinese Units and Ten Employees Go On Trial in Shanghai Over Expired Meat

Two China units and ten employees of the Aurora, IL-based OSI Group have gone on trial in Shanghai over food safety violations that could result in fines, jail sentences or both.

Chinese prosecutors brought charges of producing and selling sub-standard food products against the two units and ten employees in September. They stem from a 2014 report on a Chinese TV about alleged expired meat from OSI reaching the market after production dates were altered.

OSIChina_406x250McDonald’s and Yum brands were caught up in the scandal because OSI was their meat supplier.

The trial is being held by the Shanghai Jiading People’s Court. Defendants in a food safety trial in China can be found guilty if they knowingly manufactured sub-standard food and let it reach consumers.

OSI is a holding company with sales in excess of $6.1 billion a year and numerous foreign operations. It is the 60th largest private company in the United States, according to Forbes.

The trial will likely last only two or three days, Then a panel of judges will meet until they reach a consensus on the verdict and sentence.

Shanghai Husi Food Co. Ltd, the OSI unit at the center of the scandal, suspended operations after the TV report aired in 2014. OSI’s own investigation found unacceptable conditions inside the Shanghai plant, but the company also has had issues with the state investigation.

Editor’s note: OSI annual revenues were incorrectly stated when this article was originally published.   It has now been corrected.

 

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